Poverty Reduction Strategies:

A tool for implementing the BPOA

Linda Van Gelder

The World Bank

Poverty Reduction Strategies

Nature andLocus ofpoverty

DeterminantsSelectingIndicators

and targets

Public Actions

Monitoring outcomes

Civil Society

ExternalPartnerSupport

Core Principles

– County-owned

– Results-oriented

– Comprehensive and LT in perspective

– Participatory

– Partnership-oriented

How to Build a PRSP ?

Poverty Analysis

Sector Diagnostics

PRSP

CASJSAw/ IMF

Policies and programs

Link to the budget

ESW:Poverty assessmentPublic Exp. Reviews, etc.

Projects, including PRSCs (budget support)

Advisory and Analytical Work

 

COUNTRY

  WBG

DONORS

Consultation & Analysis

Donors’ Programs

Consultations

  

A framework for accelerating progress

towards the MDGs

Poverty Reduction Other MDGS

Better Policies and Institutions More Aid, Market Access

Economic Growth

Service Delivery

Infrastructure

Implications for Country Policies

• Public sector management– Domestic resource

mobilization– Spending priorities– Governance & decentralization

• Investment climate

• Capacity building

Implications for Country Strategies

• Use medium-term national goals– Improve measurement and monitoring

• Integrate infrastructure and service delivery in spending priorities

• Balance fiscal constraints with appropriate levels and types of aid

The full PRSP is expected to be revised every 3 to 5 years based on the results of ongoing monitoring and evaluation.

The full PRSP is expected to be revised every 3 to 5 years based on the results of ongoing monitoring and evaluation.

Implementation

Prepare

PRSP

Monitoring

Evaluation

Country

Government

Particip

ation fr

om

society m

embers

.

Input f

rom

WB, U

N

Agencies, IMF,

other d

onors

Policies

Budget

Indicators Priorities

Where are PRSPs?

Achievements

• Country ownership

• Centrality of poverty reduction

• Openness and transparency

• Donor support of PRSP principles

Inherent Tensions

Participation v. Prioritization

Comprehensive v. Selective/Capacity

Int’l Expectations v. Country Ownership

Challenges

• Institutionalize participation

• Prioritize based on analysis

• Improve monitoring systems

• Strengthen public expenditure management systems

• Align (and increasing) assistance

Good Practice: Participatory Processes

Countries

• Consult domestic stakeholders

• Establish rules

• View as a process

• Make accessible

Partners

• Provide feedback

• Worry about sustainability

• Help build capacity

Good Practice:Priority Public Actions

Countries• Develop scenarios• Include policies to

reduce risks• Consider linkages• Be specific• Build on early gains

Partners• Support

analytical work

Good Practice:Integrating PRSPs into Decision

MakingCountries• Involve MOF, link to

the budget• Involve line

ministries, build on existing plans

• Clarify institutional arrangements

• Align with existing cycles

Partners• Respect and

align assistance and requests for reporting

Partners

• Align business plans

• Be transparent

• Reduce admin. burdens

• Provide predictable aid

Good Practice: Donor

Alignment/Harmonization

Countries

• Lead coordination

• Discuss drafts

• Highlight obstacles

• Disclose agreements

Thank you

http://www.worldbank.org/poverty/strategies/